Indian Bank inks agreement with SBI Fund Management

Indian Bank has entered into an agreement with SBI Fund Management to act as distributors to sell Mutual Fund products of SBI Mutual Fund, one of the largest Mutual Fund. With the inking of this agreement, Indian Bank customers will have access to three top Mutual Funds of the country, as the Bank already has tie up with UTI Mutual Fund and Reliance Mutual Fund.

Besides, Indian Bank, the state-run lender has increased its base rate by 50 basis points (bps) to 10.75% per annum from its existing 10.25% per annum. The bank has also increased its Benchmark Prime Lending Rate (BPLR) by 50 bps which will be 15.00% per annum from its existing 14.50% per annum with effect from August 01, 2011.

The hike in base rate and BLPR reflects tight monetary conditions and is in line with the hike in key interest rate by Reserve Bank of India (RBI) and also in line with peers in the lending industry.